by Jeffrey C Kadlowec, Registered Architect

Construction has become one of the fastest growing industries with a significant impact on local economies [1]. Proper planning and management of risks is essential in completing large (and small) development projects on schedule, within budget and to good quality. That process involves analyzing various risks, classifying them by impact and probability, and formulating mitigation plans. Practical recommendations and improved performance can be obtained by predicting risks and through continued development of response methods.

Identification of risks by survey of established construction companies provides us with the following categories: 1) technical, 2) financial, 3) logistical, 4) management, 5) political, and 6) environmental. Assigning values for each risk based on 1) probability, 2) impact, 3) urgency, and 4) priority allows for analysis of these threats [1]. This implied data can then be tabulated in a risk assessment matrix (RAM) to illustrated the relative severity of those hazards – “activities, processes or substances that can cause harm.” [2] Table 1 is an example of such a matrix. Extreme risks are the most critical and can lead to multiple fatalities; these are considered high priority. High risks could result in single fatalities or fatal injuries; immediate action must be taken to prevent them. Medium risks may cause major or minor injuries; reasonable step or strategies should be implement to reduce their likelihood. Low risks could be ignored, but helping avoid them will improve overall project performance.

Table 1: Risk Assessment Matrix (RAM) [2]

Most infrastructure projects fail to meet time and cost constraints, leading to a low return on investment [3]. These projects are necessary for the healthy and sustainable growth to local economies. Risks and uncertainties inherent at every stage of development must be managed through integrated methodology to achieve required objectives. Project Risk Management (PRM) is the process of planning, identifying, analyzing, and responding. The response to risks are classified as 1) avoidance, 2) transfer, 3) mitigation, and 4) acceptance. According to the Project Management Institute (PMI), risk management is one of nine elements for project success [3]. Quantifying risk factors is a crucial part of that process.

Construction is an extremely hazardous industry resulting in frequent illnesses and injuries, and occasional fatalities. Aside from the obvious impact on health and safety, there is an added cost from workers’ compensation insurance, medical care and lost productivity [4]. Occupational risk assessment (ORA) identifies a series of influencing including economic and time pressure, lack of coordination, poor communication, changing worksite, inadequate training, worker fatigue, improper equipment, and absence of protection. Comparative review of data related to accidents by work type reveals roofing and excavation work as the most hazardous (85%), followed by curtain wall and reinforced concrete (50%). Structural steel, wall framing, and foundation (mid 30%) are next in terms of relative severity [5].

Research of the construction industry has concluded that risks which can be avoided should be prevented to lessen the number of accidents on jobsites [6]. Clear rules and regulations and understandable guidelines will reduce or eliminate hazards experienced by workers and labors. Adequate training and enforceable policies can further manage risks in the workplace. Carelessness could lead to injuries of workers and others. Protective equipment must be required by management. Safety measures must be posted with reminders being made during meetings. First aid and washing facilities should be provided around site. Accidents will be reported and investigated to determine the causes. It is the responsibility of everyone to ensure a safe work environment.

References
[1] Deokar, Rohit & Salgude, Rohit. (2022). Risk Assessment of Construction Building Projects. International Research Journal of Engineering and Technology. 09:06.
[2] Akin-Adamu, Ayodele. (2020). Importance of Risk Assessment in the Construction Industry. YCEF Technical Interactions Bulletin. 1(1):1-17.
[3] Gupta, V.K., Thakkar, J.J. (2018). A quantitative risk assessment methodology for construction project. Sādhanā. 43, 116. https://doi.org/10.1007/s12046-018-0846-6.
[4] Pinto, Abel; Nunes, Isabel & Ribeiro, Rita. (2011). Occupational risk assessment in Construction industry: Overview and Reflection. Safety Science. 49:5. DOI: 10.1016/j.ssci.2011.01.003.
[5] Lee, Hyun-Soo; Kim, Hyunsoo; Park, Moonseo; Teo, Evelyn & Lee, Kwang-Pyo. (2012). Construction Risk Assessment Using Site Influence Factors. America Society of Civil Engineers. DOI: 10.1061/(ASCE)CP.1943-5487.0000146.
[6] Thabit, Thabit & Younus, Saif. (2018). Risk Assessment and Management in Construction Industries. International Journal of Research and Engineering. 5:2. http://dx.doi.org/10.21276/ijre.2018.5.2.3.